GST

Bank guarantee not required for export. Letter of Undertaking, in place of bond shall be allowed

Bank guarantee not required for exporting goods or services. To facilitate exports under GST, Letter of Undertaking, in place of bond shall be allowed 

Press Information Bureau 
Government of India
Ministry of Finance
30-September-2017 12:55 IST

Facility of furnishing Letter of Undertaking extended to more exporters 

Small exporters have brought to the notice of the Government the difficulties in furnishing bond with requisite bank guarantee. To facilitate exports under GST, it has been decided that the facility of furnishing Letter of Undertaking, in place of a bond, for exporting goods or services or both shall be allowed to exporters and no bank guarantee will be required.The relevant notification for this shall be issued in due course. 

The issue of cash blockage is expected to be partially addressed by this measure. More measures are under consideration. 

*****
DSM/SBS
Share

Recent Posts

  • Income Tax

During pendency before settlement commission, assessee have right to contest assessment

The contention that during the pendency of case before settlement commission, the assessee must give up his right to contest…

10 hours ago
  • Income Tax

Entire amount of undisclosed money cannot be treated income but only profit embedded

Entire amount of undisclosed money cannot be treated as income and only estimated profit embedded in these transactions may only…

17 hours ago
  • GST

Penalty confirmed as loading point of the goods was different as declared in E- Way Bill

Penalty confirmed as loading point of the goods loaded in vehicle was different as declared in E- Way Bill which…

1 day ago
  • Income Tax

Notice u/s 143(2) send by email fifty seconds before signing by AO not a legal notice

Notice u/s 143(2) send by email fifty seconds before signing by the Assessing Officer was not a legal notice -…

1 day ago
  • Income Tax

Amount shown payable & receivable by both parties, not unexplained money – ITAT

Once investment amount reflected as payable and receivable in the books of accounts of both parties, no addition can be…

1 day ago
  • Income Tax

Consolidated satisfaction note for all assessment years fatal to jurisdiction u/s 153C

Recording consolidated satisfaction note for various assessment years is fatal to the very assumption of jurisdiction under section 153C -…

2 days ago